Clean water initiative will require $30m in new funding annually, state says

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Updated: 6:50 PM EST Feb 28, 2017

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WEBVTT MADE BY THE SAME COMPANIES.MADE BY THE SAME COMPANIES.>> IN MONTPELIER A HOUSECOMMITTEE ENDORSE ADD PACKAGE OFNEW TAXES THAT WOULD BEDEDICATED TO CLEAN UP POLLUTEDWATERWAYS INCLUDING LAKECHAMPLAIN.THE HOUSE NATURAL RESOURCESCOMMITTEE VOTING 7-2 TO ENDORSESHORT-TERM TAX PACKAGE TOGENERATE $30 MILLION A YEAR.THAT IS ROUGHLY WHAT IS NEEDEDTO MEET VERMONT'S AGREEMENT WITHTHE UNITED STATES ENVIRONMENTALPROTECTION AGENCY TOAGGRESSIVELY ATTACK POLLUTION,PARTICULARLY PHOSPHOROUS.THE PLAN INCLUDES RAISINGVERMONT'S ROOMS AND MEALS TAX,$10 SURCHARGE ON CAR AND TRUCKREGISTRATION AND RETAIN THECOUNTRY PROPERTY TRANSFER TAXSURCHARGE THAT WAS TO SUNSETTHIS YEAR.>> BILL ONLY RAISES THOSEADDITIONAL FUNDS FOR A PERIOD OFTWO YEARS.THE HEART OF THE BILL IS A PERPARCEL FEE BASED ON THE SERVICESAND THE STORM WATER THAT ISGENERATED BY THAT AREA.IT IS THE LONG-TERM SUSTAINABLEFUNDING SOURCE THAT ISENVISIONED IN THE MEMO.STEWART: THAT WOULD COST ATYPICAL HOMEOWNER HOW MUCH?>> PROBABLY $50.STEWART.THE STATE TREASURER RECOMMENDEDTHIS PER PARCEL FEE ON ALLVERMONT PROPERTY OWNERS TO FUNDLONG-TERM LAKE CLEAN UP BUT THATSYSTEM WILL TAKE A COUPLE OFYEARS TO PUT IN PLACE.THE COMMITTEE HAS REPRESENTED A

The House Natural Resources, Fish and Wildlife Committee voted 7-2 Tuesday to advance a suite of higher taxes to fund for water pollution initiatives, including Lake Champlain cleanup.
The plan would generate roughly $30 million annually, roughly what is needed each year for the next 20 years to satisfy Vermont's long-term agreement with the U.S. Environmental Protection Agency to aggressively attack pollution flowing into public waterways -- particularly phosphorus.
The panel recommended a range of tax increases that include:
Raising the Vermont rooms and meals tax from 9 percent to 10 percentRaising Vermont's tax on alcoholic beverages from 10 percent to 11 percentA new $10 surcharge on motor vehicle registrationsRetention of the current 0.2 percent surcharge on Vermont's property transfer tax which was scheduled to sunsetExtending Vermont's sales tax to marine slip rentals and limousine services
"The bill only raises these additional funds for two years," said committee chairman David Deen, a Westminster Democrat. "The heart of the bill is the per parcel fee, (which would be) based on impervious surfaces in terms of the stormwater (runoff) the parcel might generate. That is the long-term sustainable funding source envisioned in this memo."
Deen said a 'per parcel' fee would cost a typical homeowner about $50 each year.
The committee agreed with an earlier recommendation from State Treasurer Beth Pearce that a new fee on Vermont property owners is the best mechanism to raise new money to combat pollution. The new system will take at least two years to develop and implement, Deen said, which is why a short-term tax package is needed.
The package of recommendations now moves to the House Ways and Means Committee for review.
Gov. Phil Scott has vowed to reject any bill that "raises taxes and fees on Vermonters this year."
Scott wants to defer capital spending for the next two years and use that money for clean water programs. He has not proposed a funding source beyond that.

MONTPELIER, Vt. —

The House Natural Resources, Fish and Wildlife Committee voted 7-2 Tuesday to advance a suite of higher taxes to fund for water pollution initiatives, including Lake Champlain cleanup.

The plan would generate roughly $30 million annually, roughly what is needed each year for the next 20 years to satisfy Vermont's long-term agreement with the U.S. Environmental Protection Agency to aggressively attack pollution flowing into public waterways -- particularly phosphorus.

"The bill only raises these additional funds for two years," said committee chairman David Deen, a Westminster Democrat. "The heart of the bill is the per parcel fee, (which would be) based on impervious surfaces in terms of the stormwater (runoff) the parcel might generate. That is the long-term sustainable funding source envisioned in this memo."

Deen said a 'per parcel' fee would cost a typical homeowner about $50 each year.

The committee agreed with an earlier recommendation from State Treasurer Beth Pearce that a new fee on Vermont property owners is the best mechanism to raise new money to combat pollution. The new system will take at least two years to develop and implement, Deen said, which is why a short-term tax package is needed.

The package of recommendations now moves to the House Ways and Means Committee for review.

Gov. Phil Scott has vowed to reject any bill that "raises taxes and fees on Vermonters this year."

Scott wants to defer capital spending for the next two years and use that money for clean water programs. He has not proposed a funding source beyond that.